Which of the Following Is False

question 40

Multiple Choice

Which of the following is false?

• A)Short term interest rates are determined by income, the money supply, and expected inflation.
• B)Expected short term interest rates are determined by expected income, the expected money supply, and expected inflation.
• C)Prices of financial instruments adjust so that the expected value of the forecast is equal to the optimal forecast given all the available information.
• D)The expected return to owning stock is the dividend less any change in the price of the stock.

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Definitions:

Artistic

Relating to, characteristic of, or skilled in the arts, including both the creation and appreciation of visual, auditory, or performance artifacts.

Realistic

Realistic pertains to an inclination towards accepting situations as they are and being prepared to deal with them accordingly, often in a practical and pragmatic manner.

Cohabiting Opposite-Sex Couple

A living arrangement in which an unmarried male and female partner live together in a long-term relationship that resembles a marriage.

Households

Social units consisting of one or more people living together in the same dwelling and sharing living arrangements such as meals.